Cantella Rates and Credit Dashboard--8/5/21

??????We saw some good flows overnight in the Treasury futures markets, not so in the cash market.?It started with some selling , where one large player bought a chunk of 5 year Put futures, which sent 10’s to 1.20% .?A large buyer then came in and bought 10 year futures at 135-16, currently at 134-25.?Yesterday Fed Govenor Clarida was on the tape with the following?1)?CONDITIONS FOR RAISING RATES COULD BE MET BY END-2022.?2)?RISKS TO INFLATION OUTLOOK ARE TO THE UPSIDE.?3)?BEEN SURPRISED BY SIZE OF BOND YIELD DECLINE.?That sent 10’s to the major yield resistance level of 1.125%.?It opens at 1.18%.?Yesterday Treasury announced it will sell $126BB in its quarterly refunding, a net increases of $67.4BB.?They also announced they will cut the size of the coupon auctions as soon as November. CREDT:?Strong with IG raising 4.8 billion , bringing the week to 23 billion. Barclays coming with a $1.5BB hybrid deal and the book is already above $11.5 BB.?IG 36 at 50. Tomorrow we have employment numbers with expectations around 870,00.?That said Goldman , Citi, and Jeffries are calling for a bigger number. Goldman also out calling for their S+P target at 4700.?Enjoy the day.?

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